By Mary Jo Pitzl | The Arizona Republic
The logjam over Gov. Jan Brewer’s plan to streamline the state sales-tax system broke Wednesday as a legislative panel gave it bipartisan support, over the objections of Arizona’s cities and towns.
The Senate Finance Committee voted 6-1 to advance House Bill 2111, which outlines a new tax-collection system to replace one that most agree is overly complicated. It does not affect the general sales-tax rate, but would change the method and rate on the construction sales tax. Cities worry the shift could cost them millions of dollars.
Minutes before the committee hearing, mayors from across the state held a news conference to ask the governor and lawmakers to hold off on the portion of the 124-page bill that would revamp the construction sales tax.
Related: Sales Tax Reform Impact on Cities
